The United States border has opened to all classes of Canadian cattle born since March 1999, but cattle producers and others in the industry continue to hold their breath.
An 11th hour attempt by the R-CALF USA to obtain a temporary restraining order failed, and it was all systems go Nov. 19.
The Montana-based R-CALF, an organization that has long fought to keep Canadian cattle out of the U.S., still has a request before the same court for an injunction against the border opening, but it does not have a hearing date.
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That leaves Canadian producers with yet another uncertainty, on top of other issues like the strong Canadian dollar, soaring feed costs and new food safety regulations imposed since BSE was discovered in Canada 4½ years ago.
Jim Henderson of the Remington Cattle Co. has a production sale Dec. 18 in which he’s offering more than 500 bulls and commercial bred heifers for sale from his ranch at Del Bonita, Alta.
He has mixed feelings about an open border. He must rebuild his American contacts and contend with a higher dollar that might scare away potential buyers.
“The dollar puts another crinkle into everything we do. An at-par dollar would definitely help,” he said Nov. 19.
“It’s potential good news but we have to strike up some contacts to market some cattle. It is a slow process to mend, especially in Montana because they are very pro buy-their-own genetics.”
Like many Canadian producers, he has many bred heifers for sale and there is pent-up demand in the midwestern states of Wyoming and Nebraska.
Even with the higher dollar, freight costs and other border expenses, buyers could still boost the prices on what has been a sagging market.
A big winner in this situation is the Canadian dairy heifer market. Several eastern exporters were ready to go with truckloads of females the day the border opened, said Rick McRonald of the Canadian Livestock Genetics Association.
“We have been working closely with (Canadian Food Inspection Agency) and the (Canadian Cattlemen’s Association) and provided our membership with information on opening of the border,” he said.
Inspection agency health of animal certificates have been available for weeks and there has been a sales run on branding and tattooing equipment to identify the animals, he said.
All export animals must carry a C, inverted V, N tattoo or brand as a permanent identifier.
However, the dollar may slow some sales and while there is demand for breeding cattle in the U.S., there may not be many to export because breeders cut back when the border closed.
“There is no flood of Canadian dairy heifers heading across the border,” he said. However, the news is still positive because other countries looking for Canadian genetics will be back now that business is open with the U.S.
“Normalization of trade in North America will move other countries,” he said.
Hugh Lynch-Staunton, president of the cattlemen’s association, also talked tentatively about the trade resumption. He expected R-CALF members would continue to seek legal action to stop cattle from crossing the border.
“Every day it is open increases the likelihood that it will stay open,” he said from his Lundbreck, Alta., ranch.
Lynch-Staunton also worries about the higher dollar and its effect on north-south trade.
“The dollar is the biggest negative factor; $1.01 is better than $1.10 and we would like to see it stabilize. When people don’t understand it, they tend to stay away,.”
Lynch-Staunton expects only a few animals to be shipped to the U.S., in spite of R-CALF’s contention that a wave of older livestock from Canada will disrupt the U.S. market.
“Our own market absorbed a lot of the cattle,” he said.
As of Nov. 19, the U.S. Department of Agriculture released to brokers and importers its requirements, including accepted ports of entry.
The rule allows live animals, a range of meat products that do not contain specified risk materials and animals that were not slaughtered with air-injected stunning. Beef from cattle of all ages, bovine blood, gelatin, pet food and animal feed containing animal products are also allowed with the appropriate documentation.
Carcasses of sheep or goats that were less than 12 months old when slaughtered and accompanied by CFIA certificates are allowed. Hunted meat from deer, moose, elk and caribou is permitted with proof that it is cervid meat, such as a hunting licence or commercially labelled packages with official documents.
